1. Provident fund loans are complex, have long review cycles, and developers are slow to pay back

For developers, they want to get funds back as soon as possible for the properties they develop, and they are not willing to wait for citizens to apply. Provident Fund application process. Slow means that the review and disbursement speed for citizens to apply for provident fund loans is much slower than that of ordinary commercial loans. In addition, it takes a huge amount of time for developers to acquire land and build houses. If you want to speed up the withdrawal of funds, generally provident fund loans are not supported. Buying a house seems reasonable.

2. Project progress

According to relevant regulations, the project progress must reach two-thirds or more of the total project progress before you can apply for provident fund loan qualifications. When some projects obtain a pre-sale license for commercial housing, the progress of the project may only reach about the second or third floor above ground. This is also a manifestation of the "slowness" just mentioned. In this case, it is naturally impossible to support provident fund loans.

3. Nature of land and houses

Only legal commercial houses with complete five certificates are eligible to apply for provident fund loans. Small property rights and other illegal land use projects are not allowed.

4. Banks are not too enthusiastic about provident fund loans

The benchmark interest rate for commercial loans is 4.90, but the interest rate for provident fund loans is 3.25. Obviously, the income of provident fund loans and commercial loans is very different. Moreover, the commercial loan procedure is simple and easy to operate, which has also become an important factor in banks' reluctance to provide provident fund loans.